I think the answer is c.capitalize on interest but i'm not quite sure
Answer:
option a 13.5%
Explanation:
Expected
Return Volatility
Value Stocks 0.12 14%
Growth Stocks 0.15 24%
<u>Solution</u>
Expected return on market portfolio = Weight of value stock * return of value stock + weight of growth stock * value of growth stock
Expected return on market portfolio = 0.5 * 0.12 + 0.5 * 0.15
Expected return on market portfolio = 0.06 + 0.075
Expected return on market portfolio = 0.135 or 13.5%
Answer:
$10,500
Explanation:
The computation of depreciation expense using the straight line method is seen below;
= [Original cost - Residual value] ÷ Useful life
= [$160,000 - $20,000] ÷ 10 years
= [$140,000] ÷ 10 years
= $14,000
Using straight line method, the depreciation value is the same for the remaining useful life.
Also, from April 1 to 31 December(9 months), the depreciation expense would be;
= $14,000 × 9/12
= $10,500
Therefore, the amount to be recorded as depreciation expense at December 31, 2015 is $10,500
Answer:
Materiality of the assets
Explanation: Materiality is known to as misstatements, including omissions, and these are considered to be material if they, individually or in the aggregate, could reasonably be expected to influence the economic decisions of users taken on the basis of the financial statements.
